Riyadh – Mubasher: The Saudi Automotive Services Company (SASCO) on Tuesday has signed a sharia-compliant loan agreement at a value of SAR 150 million with Bank AlJazira.

The facility includes SAR 100 million as a long-term financing, SAR 5 million as a short-term financing, and letters of guarantee with a combined value of SAR 45 million, according to a statement to the Saudi Stock Exchange (Tadawul).

The short-term financing period will last for 30 days, while the period for the long-term financing will last for seven years, starting from withdrawal date.

The loan is guaranteed through a promissory note at a value of SAR 165 million.

SASCO further noted that the facility will be used to finance its expansions, purchasing land plots for building new fuel stations, and financing its operating capital.

SASCO last reported a 17.94% year-on-year profit increase for the full-year 2018, logging SAR 35.08 million earnings after calculating Zakat and Tax, compared to SAR 29.82 million in 2017.

Bank AlJazira last reported a 12% year-on-year profit increase during the third quarter of 2018, reaching SAR 255.1 million, up from SAR 227.6 million.

SASCO’s stock levelled down 0.97% to SAR to close Tuesday’s trading session at SAR 16.38, while the bank’s stock inched down 0.47%, reaching SAR 16.92.